Fixer-Upper or New Build? Why the Answer Might Surprise You in 2025

If you’ve been shopping for homes lately, you might have noticed something strange...older homes that need work are sometimes priced higher than brand-new construction.

Yep, you read that right.

According to the latest data, the median price of an existing home in the U.S. is $429,400. For a newly built home? $410,800. That’s an $18,600 difference.

This is a big shift. Between 2010 and 2019, new homes averaged about $66,000 more than resales. Even in recent years, the gap was still around $25,000. But in 2024, things flipped—and in 2025, the trend is holding.

Why This Matters for Henderson and Las Vegas Buyers

Here in Southern Nevada, we’ve got both options in play:

• Established neighborhoods with older homes in places like Green Valley, Seven Hills, and The Lakes.

• Brand-new construction in areas like Inspirada, West Henderson, Skye Canyon, Summerlin West, and Cadence.

If you’ve been leaning toward a fixer-upper thinking it’s the “budget-friendly” route, the numbers might surprise you.

The Real Cost of a Fixer-Upper

Renovations aren’t cheap. In 2025, they’re definitely not getting cheaper.

Here’s what’s driving the cost up:

• Material and labor prices are still high. Even with inflation cooling, lumber, roofing, and skilled trades are nowhere near pre-pandemic prices.

• Contractor delays are common. Good luck getting a plumber or electrician out quickly, many are booked weeks in advance.

• Surprise repairs happen. Outdated wiring, plumbing issues, or mold behind walls can turn your budget upside down.

• Time is money. Renovations can drag on for months depending on the size and scope of the project

What looks like a “deal” can turn into a money pit before you know it.

Why New Construction Is Suddenly More Competitive

Builders are responding to the market:

• Designing smaller, more efficient layouts

• Building in more affordable locations

• Offering incentives like rate buydowns, closing cost help, and design upgrades

And because they build at scale, they can often keep prices more stable than individual homeowners trying to sell in a hot resale market.

When a Fixer-Upper Still Makes Sense

There are still good reasons to choose a home that needs work—if:

• You’re getting it below market value and the math checks out

• You’ve got the budget, skills, and time to renovate

• You want a specific neighborhood with no new construction available

• You’re planning a custom remodel for a long-term home

Final Take

In today’s market, “older” doesn’t automatically mean “cheaper.” In fact, in many cases, especially here in Henderson and Las Vegas, you could spend more on a fixer-upper than on a brand-new, move-in-ready home with a warranty. Some of the older homes needing updating are in some of the most sought after established neighborhoods. And "old" by Vegas standards could mean built in the 1980's or 90's which in many large metros would be cosdiered newer.

Before you make a decision, run the numbers on both. Look at the incentives builders are offering and compare them to the total cost of buying and renovating an older home. Factor in locations and your specific goals, not just the numbers.

If you’re curious about which route makes sense for your situation, I’m happy to walk you through both options. No pressure, just real insights.